Recently, China Petroleum & Chemical Corporation (Sinopec) and INEOS formally signed a formal cooperation agreement to establish INEOS SINOPEC Tianjin Petrochemicals Limited, previously translated as Sinopec INEOS (Tianjin) Petrochemical Co., Ltd. The two parties will take this newly incorporated joint venture as the exclusive operating entity for Sinopec’s ongoing 1.2 million tons per annum (t/a) Tianjin Nangang ethylene project, which is scheduled to be officially put into commercial operation in April 2024.
Sinopec noted that the two enterprises have built long-term stable cooperative ties over years. The launch of INEOS SINOPEC Tianjin Petrochemicals Limited marks another landmark chemical cooperation milestone following the successful equity delivery of the SECCO petrochemical joint venture. Under the backdrop of China’s dual carbon strategic goals and nationwide energy and petrochemical industrial transformation, Sinopec believes both sides can complement each other’s core strengths in regional layout, raw material resources and proprietary process technologies. The win-win collaborative development will further expand innovative development paths for China’s domestic petrochemical sector.
Initiated in March 2022, the Tianjin Nangang ethylene project has a total investment exceeding RMB 300 billion. It is listed as a national key project in China’s 14th Five-Year Plan and the largest leading industrial flagship project in Tianjin during the same planning period. The core construction scope includes one 1.2 million t/a ethylene cracking unit, matched with 12 supporting high-end new material downstream production facilities.
In December 2022, the two parties signed a supplementary equity cooperation agreement, confirming INEOS’s intention to acquire a 50% equity stake in the Tianjin Nangang ethylene project. The official incorporation of INEOS SINOPEC Tianjin Petrochemicals Limited represents the final implementation of the 2022 supplementary agreement and the latest substantial progress of bilateral deep cooperation.
Headquartered in Rolle, Switzerland, INEOS is a top-tier global manufacturer of petrochemicals and specialty chemicals. It currently operates 36 independent business divisions and 194 production bases across 29 countries worldwide, owning patented leading technologies for polyethylene, polypropylene, acrylonitrile and mainstream bulk petrochemical products.
